Council tax banding scam hits homeowners

By Lezanne Janse van Rensburg, 7th December 2009

Police and trading standards officers have received hundreds of calls and complaints regarding a council tax rebate scam which has been spreading across the country over recent months.

It is believed that a campaign, encouraging people to reclaim overpaid council tax, served as an ideal opportunity for fraudsters to take advantage of unsuspecting homeowners.

The campaign comes after a number of people appealed against their council tax banding. Approximately 130,000 homeowners have already appealed and reclaimed a substantial amount for overpaid council tax over the last three years.

Approximately 130,000 homeowners have already appealed and reclaimed a substantial amount for overpaid council tax over the last three years.

Some people have been contacted by the fraudsters by phone, while others were visited at their homes. The fraudsters, claiming to be members of local council, inform their victims that they have either overpaid or have outstanding council tax. The fraudsters then convince the homeowners to give them banking details and card numbers in order to refund the payments or prevent the payment of a fine. There have also been reports of emails being sent to householders requesting banking details.

Officials have urged people to be vigilant and report these council tax scams to their local councils or the police immediately.

According to Local Authorities Co-ordinators of Regulatory Services chairman, Paul Bettison, a council member would never contact homeowners via email or by phone with regards to council tax payments.

Tim Eden, VOA Director of Council Tax stated that "the VOA does not ask people for financial details". Eden also added that people should visit voa.gov.uk if they have any questions regarding council tax banding  or tax refunds.

Claims Financial